- Mortgage Glossary
- Apply for your mortgage online or with a Mortgage Specialist.Gather all required documents and upload them through our web portal; or email, fax or hand deliver to a Mortgage Specialist.
- After your application is submitted, your Mortgage Specialist will contact you to review the file and help you select the best mortgage loan program to meet your goals. Your file is sent to Pre-Underwriting to get you, the borrower, approved and if needed, a pre-approval letter in your hand.
- Your file is submitted to Processing and your appraisal is ordered. Once received, your file is submitted to Final Underwriting to approve the property.
- Your mortgage loan is then scheduled for closing generally 30-45 days after application.
- On a purchase transaction, the maximum loan to value is based on the lesser of the purchase price or appraised value.
Your ability to buy a home rests on the numbers and documentation your mortgage lender has. If there is a change to any of these, your chances of buying a home could be jeopardized. This means if there is a change to your credit, debit, income assets, or job during the loan process, you might not be able to buy that house. Here are some tips on things to watch out for:
- APPLYING FOR NEW CREDIT - After you get a contract to buy your house, it's best not to apply for any new credit. This means not applying for car loans, credit cards, cell phone bills, or any form of credit. Doing so could change your credit score and impact your rate lock and/or fees associated with closing on the house.
- CHANGING CREDIT - You don't want to close out or dispute any credit cards. If you have any accounts in dispute, your mortgage lender cannot run automated underwriting and must pause your loan file until your accounts are taken out of dispute. If you close your credit card, that can hurt your credit score, which in turn can increase your fees or put your ability to buy a home at risk.
- MOVING MONEY AROUND - Moving money around can cause more headaches than necessary. If you are receiving gift funds, the donor can wire funds directly to escrow, bypassing your bank account entirely. If any of these funds happen to hit your primary checking account, that could spell more trouble, as it could appear as though you are spending your cash to close.
- SWITCHING JOBS - Changing jobs and getting into contract with the proper documentation is one thing. Signing a purchase contract and changing jobs is something else entirely, as most mortgage lenders typically want you to have your job for at least 30 days. Word to the wise: close on the house with your current job, if possible.
- SHOPPING FOR YOUR MOVE BEFORE YOU ACTUALLY CLOSE - Hiring a moving company when you have not signed your final loan documents is just plain unnecessary and could set you up for failure. If you have the moving company come on a certain day and for whatever reason your house doesn't close, things could become problematic. Hire a moving company after you've signed the final loan documents. Same goes for purchasing furniture, especially if those funds come in the form of credit or cash in your account. Close on the house first, then go shopping.
By adhering to these tips after you sign your purchase agreement, you will be well on your way to successfully closing your mortgage loan with little or no hiccups!